Carol Johnson, Southern Indiana Business Report
BEDFORD – The Lawrence County Redevelopment Commission has initiated the process to finance the shell building that will be built in the Mitchell Industrial Park.
Members of the commission voted 5-0 to adopt a bond resolution to pay for construction of a 50,000-square foot shell building during a meeting Oct. 12.
The next step will be a public hearing on Nov. 9 followed by a vote to approve the bond appropriation resolution.
“Looking at the expected TIF district revenue, the Lawrence County Redevelopment Commission is taking a very conservative approach and expects to have debt service coverage of over 200 percent,” said Jeff Quyle, commission president.
The bond is not to exceed $8 million, however, the commission members anticipate it will be much less. The interest rate is not to exceed 8%, and likely will be lower than that. The maximum term of the bond is 20 years.
The commission is working with Baker Tilly, an accounting and consulting firm, to assist in the bond issuance process.
Construction of the metal building is estimated to cost $5.2 million. In July, the commission approved Runnebohm Construction to proceed with obtaining required building permits and site preparation work. The building will have 32-foot ceilings and include four docks, one overhead door and electric utilities.
The Mitchell Industrial Park is on Doc Hamilton Boulevard just off Ind. 37. The shell building will be the first of its kind constructed in Lawrence County. It will be designed to allow a tenant to expand it to 200,000 square feet, if needed.
A shell building is an important economic development tool and provides the county’s economic development organization, the Lawrence County Economic Growth Council, a means to market Lawrence County to developers looking for a large building with close highway access.
The Nov. 9 public hearing will take place in the Lawrence County Courthouse.